Russian diamond trading giant Alrosa to set up office in India

30 Sep 2010

Russia's state-owned diamond trading giant Alrosa will soon open an office in India for allocation of rough diamonds through long-term arrangements with Indian companies.

Alrosa, Russia's largest diamond miner, is currently in discussions with three Indian companies for signing three-year contracts, under which the Russian company will supply rough diamonds worth $490 million.

The contracts are expected to be signed with Diamond India Ltd, Ratilal Becharlal & Sons and Rosy Blue, during a working visit by Russian prime minister Vladimir Putin to India on 11-12 March 2011, Russian news agency RIA Novosti quoted company sources as saying.

Alrosa accounts for 25 per cent of the global diamond output. In 2009, the company produced diamonds worth $2.2 billion, with its sales equaling the same amount.

In 2010, the company expects its output to reach $2.31 billion in terms of value and diamond sales to hit $3.3 billion.

The Russian government holds a controlling 50.9256 per cent stake in Alrosa. The remaining shares are held by the Republic of Sakha (32.0002 per cent), administrations of 8 municipal districts of the Republic of Sakha (8.0003 per cent) and other legal entities and individuals (9.0739 per cent).